US President Donald Trump has delayed a 5% tariff hike on US$250bn of Chinese goods due to come into force on 1 October as the two countries prepare for fresh talks in their long-running trade dispute.
In a tweet, Trump said the scheduled increase would be postponed for two weeks as a "gesture of good will", BBC News reported on 12 September.
The move follows Beijing’s announcement on 11 September that it would exempt 16 US imports from tariffs include anti-cancer drugs and animal feed, although significant US exports to China, including soyabeans and pork, would still be hit by hefty taxes.
The two countries have been locked in a trade dispute since last year, with the USA accusing China of discriminatory policies relating to technology and intellectual property.
So far, the USA had imposed tariffs on more than US$360bn worth of Chinese goods, and China had retaliated with 5%-25% tariffs on more than US$110bn of US products, BBC News said.
In the USA’s last trade salvo on 23 August, Trump said he impose 5% hikes on the 25% tariffs on US$250bn worth of Chinese goods due to come into force 1 October, and on 10% tariffs on US$300bn of goods in September.
However, Trump said on 11 September that China's Vice Premier Liu He had asked him to postpone the 1 October hike as the date coincided with the anniversary of the People's Republic of China.
Both side were due to resume talks, with preliminary meetings set to take place later this month in Washington before US treasury secretary Steven Mnuchin and trade representative Robert Lighthizer meet Liu in October, BBC News wrote.